New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1887-03-26
EACEK 1O SEE JAMES KEAENEY.
ANXIOUS CREDITORS on THE WATCH.

WHAT HAS BEEN DONE WITH The Trust FUNDS
The failure Of James Kearlcy OF the law firm OF
THAN & Kearncy. 40 IL pine-st.. has given rise 10
controversy n question which has never Net
been satisfactorily settled namely. who pears the
loss when referee fails TO account for trust tnhds
MIR Kcarney on March Il made an assignment 10
relcr b. Stanton giving eight preferences amounting
TO S27 $50 Among his Liabilities was the sum VI
$4,000 which hal passed into his hands as referee
In the sut of Margaret Foster against Theodore NJ hoohe
and Others. Under court order In this case the
following property was sold at auction on OCTOBER
TO william Wesley: No. 43 Great Jones-st LOT
$20,250 No. 40 Bond-st for 100000 No AZ Fond
st. for $25, 900. and No. Al Bond-st for S2o'ooo
also No AZ Great Jones-st for 320550 to the Empire
Bottlng Company The law and custom in such safes
are for the buyers guarantee OF good fath 10
pay ten per cent OF the purchase money to the
referee, who deposits it TO the credit OF the acton
In some trust company. In this case 1t suited tne
purchasers pay than the ten per cent required
and they handed to Kearney $4,000 III cash.
or 800 moro than the ten per cent grara 1nb
attorney for Mrs Foster. planuh IN inc sun Zoo s"
Yesterday that instead of depositing this $4,000 to
the credit OF the action, the trustee ueposI.ru !, ~
his own credit In trust company. Mterwau no
drey it out When call was made for the money Money
by the attorneys Of MIS- Foster it was not forth
coming The demand. however, preclpl'aud the
failure Of young Kearney. Now that ne Is IN G ac
knowlcdged bankrupt. the lawyers are trying TO mo
out who Ia to bear the loss OF the SisOVv Inc
attorneys for Mrs Foster think the unfortunate pur-
chasers who paid il will have to pay IL over
again. Mr. Wesley and the BOttling Company lhslsu
that Mrs Foster should be the sufferer.
Meantime the friends Of young Mr kearncv gre
irving to sct,le the question by raising the needed
funds for him. They have talked OF injecting OF
creditors" and n satisfactory adjustment OF me
trouble" but yet creditors have met nor mas tne
deficiency been "adjusted., His friends nave also
promised to produce Referee Kearney. but they nave
done 80. The jancr at NO. II l'ne-st SAYS that
Mr. Kearney has not been In tho building Tor week
Mr. Than says that "a will be well In few DAYS
Roscoe Claiming of No. "a PARK Place. MI kearney
attorney SAYS that he thinks things VIII be arringeo
In n few days. "Mr Kearney Is hlgh-tOneu non
orable man. he adds "anh think he has been MS
led by others in this transaction" MT. 1haihi1s
said he thought from an examination mat Ut
Kcarnevs assets would he found equal to his lab-
lues lie had no idea what the figures were put re-
who he said had an Office with Albeit q Fuller at
BarcIay-st and broadway. At ex-governor ADocro
o. Eco the reporter told that Mt stanton, VIZ
unknown there. Mr.. Campbell said that nc dlh nor
know the assets liabilities and did not Know VINO
Peter b. Stanton was. Mr. kearney was Hau 10
have hal a political pull behind his career as an
attorney. o.. " r., ,o tina
Mr. Kearncy and his wife have for some ~, time
occupied the top nat OF the apartment mousse 10
East Eighty nfth-st which no had turnishcd III ~
EXPENSIVE manner. The Ianit0r Of the bnlhiliS sdIl
last evening that be had not seen Mt heathey tcin
since sunday before last although his "ne WIS III
their apartments Thursday evening.